CAIRO: Arab states urged the Hamas-led Palestinian Authority on Saturday to accept an Arab initiative which offers Israel peace in return for land Israel has occupied since 1967. But Palestinian Foreign Minister Mahmoud Al Zahar, on an Arab tour in urgent search of funds, made no commitment to the initiative, which conflicts with the Hamas movement's goal of a single Islamic state throughout historic Palestine. Zahar told a news conference at the Arab League he was confident that Arab governments would provide money for the authority, which has lost mainly European aid because it refuses to recognise Israel's right to exist. "All the interventions spoke about the Arab initiative and its importance to Palestinians," Zahar said.